FAQs on Medical and Health Insurance - General

FAQs on Medical and Health Insurance


How do I decide on the best plan for me?

The best MHI plan for you is the one that gives you the greatest flexibility and the most benefits for the lowest cost. Unfortunately, there's no such thing as a standard MHI policy to use as the basis for your comparison. As you would when making any major purchase, you'll need to shop around and get several quotes before choosing a plan. Here are a few points to consider:


How co-payments, deductibles, and co-insurance requirements apply?

What are the benefits covered?

What are not covered?

Does the plan cover the health services that you need?

Can you afford the premiums?

Does the plan cover the private hospitals you're currently using?

Does the plan offer family, as well as individual coverage?

Does the plan provide for pre-existing conditions?


What are the important tips when buying a MHI policy?

Firstly, ask about the different types available. Then,


understand the product features, conditions, limitations, exclusions and benefits;

make sure that the coverage taken under the policy is suitable for your needs;

make sure that you can afford the premium payable under the policy;

make sure that you fully and faithfully declare all the facts that you know or ought to know. Otherwise the policy issued may be void and your claims may not be entertained; and

only buy from registered insurance agents or directly from the insurance company.


I notice that some MHI policies contain the 'guaranteed renewal' condition. What does it mean?

‘Guaranteed renewal’ means that the insurance company guarantees the renewal of the policy, subject to the terms and conditions specified in the policy. The renewal premiums payable,however,is not guaranteed nor fixed.In practice, the renewal of the policy is guaranteed until certain events have occurred, such as:


You did not pay your premium or did not pay it on time;

You have misrepresented a material fact, e.g. age or a medical condition, during your application;

You have cancelled the policy;

The total claims of the policy have reached the lifetime limit specified; and

You have attained the coverage age limit.


When will my policy be effective?

As soon as your application is accepted and has been received by the insurance company and the premium duly paid.


Under what circumstances will my cover be cancelled?

On the policy anniversary, or when the total benefits paid have reached the lifetime limit, or when the total benefits paid in any particular year have reached the annual overall limit. The policy may be cancelled if there is a misrepresentation of material fact, e.g. medical condition, during your application.


Are there any exclusions?

Yes, these include pre-existing conditions, HIV leading to AIDS, elective surgery other than medically necessary, psychiatric disorders, congenital abnormalities, hospitalisation for investigatory purposes and routine physical check-up, among others.


Is SARS covered under existing MHI policies?

If your policy is a hospital and surgical insurance policy, you can claim for losses incurred due to SARS because SARS is not one of the conditions excluded under the policy. However, if your policy is a critical illness policy, you are not covered for SARS because SARS is not one of the critical illnesses covered under the policy.



by: Wakil Insurans AIG